Lloyds Classic Vantage stopping 4%

Prof_FrinkProf

So it's still worth using vantage accounts until you hit the new limit (3 Vantage Accounts @£5k each = £15k)? Then once you have over £15k search for a new account to put the excess in to?

Consumerist

BlAck0ut wrote: »

So it's still worth using vantage accounts until you hit the new limit (3 Vantage Accounts @£5k each = £15k)? Then once you have over £15k search for a new account to put the excess in to?

It's only worth using the Vantage account as a savings account if you can't get a better rate elsewhere. Since it is unlikely that you will get an easy access account offering 4%, the Vantage account is tops for the moment if you don't mind the £1,000 money-go-round. In June, you may or may not be able to do better than the 3% on the Vantage.

trisha

I have made an appointment to open two accounts tomorrow
It seems as good as anything without tying money up for a year and then having to move.

I will get 4% until June 27 then 3% so I will see how it goes. It's better than being in the Nationwide e-savings

When I set up a S/O to transfer the £1000 between the two accounts is there any particular date in the month which is best to do this, or doesn't it matter ?

TIA
Trisha

Yorkie1

It doesn't matter what date you do the transfers - just make sure you have the funds available. I personally choose to stagger them on consecutive days, but that's just me.

Consumerist

trisha wrote: »

When I set up a S/O to transfer the £1000 between the two accounts is there any particular date in the month which is best to do this, or doesn't it matter ?

I agree with Yorkie1; it does't really matter which date in the month you choose for the SO but if your accounts are maxed-out at the £7,000 limit then it would be better for all SOs to be on the same date or you will lose some interest on any temporary £1,000 excess if the dates are different.

Hope that makes sense.

bubieyehyeh

It does matter when you do the transfer, teh interest earning period is 2nd working day of month to the next, this changes month, so if you did it early in the month, you might move the 1000 twice in one "interest month" and not at all in the next "interest month" (which means no interest that month), so sometime between about 5th and 23rd or months is probably safest for the money moving.

Consumerist

bubieyehyeh wrote: »

. . . if you did it early in the month, you might move the 1000 twice in one "interest month" and not at all in the next "interest month" (which means no interest that month), so sometime between about 5th and 23rd . . .

Good point. I do mine on the 15th - well clear of the beginning & end of the month.

noh

bubieyehyeh wrote: »

It does matter when you do the transfer, teh interest earning period is 2nd working day of month to the next, this changes month, so if you did it early in the month, you might move the 1000 twice in one "interest month" and not at all in the next "interest month" (which means no interest that month), so sometime between about 5th and 23rd or months is probably safest for the money moving.

No. You can do the transfer any day of the month.
The T+Cs state calendar month.
http://www.lloydstsb.com/current_accounts/vantage_ts_and_cs.asp


"The Vantage conditions are that each month you must:

• pay into your account at least £1,000 during the calendar month; and
• keep your account in credit (that is above £0) during the monthly billing period"

Interest is calculated, as you state, from the start of the second working day to the end of the first working day of the next month.

trisha

I opened two accounts yesterday and asked when was the best time to set up the SO, she said probably the middle of the month, she set it up out on yesterdays date the 14th and back on the 17th to see how it worked out with weekends, she said I can tweak it to operate on the same day if I want to next month.

Consumerist

trisha wrote: »

. . . she said I can tweak it to operate on the same day if I want to next month.

If your accounts both have £7,000 in them then I think you would maximise interest by having the SOs on the same day. £8,000 in one account would only earn interest on £7,000 whilst the other account would earn interest only on the £6,000 balance. You will lose interest on £1,000 for the period between SO dates.